Mutual Fund Assets Increase by $24.4 billion in
August

According to an Investment Company Institute survey,
long-term funds – stock, bond, and hybrid funds –
collectively had a net inflow of $7.88 billion for the
month, down from the
July
inflow of $11.19 billion. Stock funds were
significantly down, posting net inflows of only $1.09
billion in August, compared to $9.37 billion in
July.

Among stock funds, world equity funds – those that
invest primarily overseas – saw an August inflow of $2.3
billion, down slightly from the $2.95 billion inflow seen
in July. Of funds that invest primarily in the US,
aggressive growth, growth and sector funds had an overall
outflow of $3.62 billion. This was a turnaround from the
July inflow of $2.27 billion, as investors seemed to rush
for international investments.

Bond funds had an August inflow of $4.18 billion, up
from $1.16 billion in July. Taxable bond funds had an
inflow of $4.57 in August, while municipal bond funds had a
net outflow of $383 million in August.

Money market funds had a net outflow of $12.63 billion
in August, an even greater outflow than was seen the
previous month. In July, the outflow for money market funds
was $3.22 billion. Institutions accounted for the vast
majority of this outflow; funds offered primarily to
institutions had an outflow of $11.17 billion, compared to
an outflow of only $1.46 billion for funds offered
primarily to individuals.